As part of its growth strategy, Etu Energias, SA has concluded its agreement with GALP for the indirect acquisition of a 5% stake in Block 32 and 9% in Block 14, 4.5% in Block 14K in offshore Angola.The conclusion of this deal represents the materialization of the purchase and sale agreement between the subsidiaries of GALP Energia and Etu Energias announced on February 10, 2023.

Block 32 is located approximately 260 km off the coast of Luanda, in water depths ranging from 1,400 to 2,000 metres. Production started up in 2018 and continues to be one of the biggest producing blocks in Angola. It is operated by TotalEnergies Exploration Production Angola (30%), which leads the contractor group composed of Sonangol Pesquisa e Produção, S.A. (30%), SINOPEC (20%), ExxonMobil (15%) and also Galp Energia Overseas Block 32 BV (5%). 

Block 14 is located approximately 100 km offshore from Cabinda in Angola and covers around 4,094 km2. First oil occurred in 1999 and continues to have significant output of medium light crude oil. It is operated by Cabinda Gulf Oil Company Limited – Chevron (31%), which leads a contractor group composed of Sonangol Pesquisa e Produção, S.A. (20%), Eni Angola Exploration, B.V. (20%), Etu Energias, through its affiliate Angola Block 14 B.V. (20%) and Galp Energia Overseas Block 14 B.V. (9%).

The third on the list, Block 14K, has as members of the Contractor Group Chevron Overseas (Congo) Limited (15.75%), which is the operator, TotalEnergies Congo (26.75%), Cabinda Gulf Oil Company Limited ( Chevron) (15.50%), Azule Energy Angola B.V. (10%), Sonangol Pesquisa e Produção, S.A. (10%), AB 14 B.V. (10%), Societé Nationale des Pétroles du Congo (07.50%) and Galp Energia Overseas Block 14 B.V. (04.50%).

Financing for the deal was provided by a consortium led by the African Export-Import Bank (AFREXIM BANK) which included Shell Western Supply and Trading Ltd, Banco Angolano de Investimento (BAI) and Banco de Fomento Angola (BFA). The agreement was formalized by Edson R. Dos Santos, PCA of Etu Energias and by Haytham Elmaaryergi, EVP of Global Trade Bank (Afreximbank).

“The close collaboration between the different parties was fundamental to the success of this business, which represents Etu Energias’ entry into deepwater oil production.The conclusion of this Transaction demonstrates the resilience of our company and represents a huge step in our strategy to build a profitable and diversified portfolio.” said Edson R. Dos Santos, Etu Energias´s Chairman and CEO, who extended his deep appreciation for the support to “Etu Energias family, our financial partners, GALP and the Government of Angola, in particular ANPG and the Ministry of Mineral Resources, Petroleum and Gas”.